Smart classrooms were introduced in India a few years ago. With this, lakhs of students from all social strata of the country will be able to access the modernized way of learning through smart boards instead of chalkboards.

According to UNESCO, during the COVID-19 pandemic, the lockdown caused 298 million schoolchildren to miss their classes for about 82 weeks. But despite digital advances, there weren't screens everywhere to help students learn online. According to a report by Vidyasarathi, a scholarship management portal promoted by NSDL e-Governance, only 17% were able to use laptops, 4% had tablets and 79% had smartphones as their primary learning device.

Chitranshu Mahanta and Aman Verma, friends from IIT-Delhi, had volunteered for the National Social Mission (NSS) during their engineering studies and taught underprivileged students. Even before the Covid-19 outbreak, they were aware of the potential of e-learning and that the digital divide in the country would increase the number of school dropouts.

Recognizing the potential of computing devices for education, the duo founded PrimeBook in 2018 to develop the right technology for digital learning. They launched PrimeOS, an Android OS for PCs, to build a laptop that efficiently meets the needs of students. Since India's online education system is' Android-first ', an Android-based OS is essential to build a laptop that provides access to all Android apps.

The copyrighted OS was initially deployed to edtech platforms that were trying to gather feedback on its functionality, especially during the pandemic. After extensive research and discussions with students and teachers, they realized that students need laptop productivity, value for money, Android apps, and internet connectivity to enhance their digital learning experience.

So, they launched PrimeBook as a cost-effective laptop brand, suitable for students, learners, all age groups and light users of laptops. The duo has launched a super portable laptop that is perfect for hours of learning, doing assignments and writing online tests.

It allows users to access regular Android apps via a laptop and run multiple apps on it just like a regular computer. It also features a built-in 4G SIM slot for users to stay connected with their existing mobile data plans. Additionally, there's a built-in App Store for downloading and managing Android apps, just like the Google Play Store.

The brand has currently launched four models with different specifications priced between Rs 11,000 and Rs 16,990. It also offers a mobile device management (MDM) solution that enhances parental control and empowers children with a safe browsing experience.

Between June 2023 and June 2024, PrimeBook's Mahant said it sold 35,000 laptops through its website and major online marketplaces such as Amazon and Flipkart. It has also partnered with leading NGOs and EdTech platforms to distribute Primebooks among economically weaker students.

Along with other fundraising initiatives, PrimeBook raised Rs. 8.5 crore in equity and Rs.8 crore from debt from investors, including Rs.75 lakh from Shark Tank India (Season 2). This exposure increased the brand's popularity and led to a surge in sales.

"By December 2023, we have captured 3% market share in the sub- $250 segment with an average customer rating of 4.3 out of 5 based on 10K + reviews on e-commerce marketplaces," says Mahant.

The startup claims to have become profitable by Rs 50 crore with 10x annual revenue growth in FY24. The company aims to increase its revenue to Rs 150 crore in the current financial year, launch upgraded models with bigger screens and expand to African and Southeast Asian markets in the next two to three years.

How PrimeBook faced the challenge of making in India, for India

Inspired by the OLPC (One Laptop per Child) programme run at MIT, India's experiment with premium yet affordable personal hardware is far from over, even though the country has spent a considerable amount on R & D.

When it comes to buying laptops, despite being cheaper, the average Indian consumer still trusts established brands like HP, Lenovo or Dell, which are firmly in the 'affordable' segment. In fact, a 2023 survey on laptop ownership in India revealed that 33.2 per cent of users own HP devices, followed by Dell (23.1 per cent) and Lenovo (14.7 per cent).

The founders realized that they had to compete with companies that ruled this established market, and they went ahead with the release of a utility-rich, smooth-running PC interface running on PrimeOS that allowed access to a vast Android library consisting of 50K + apps.

"Online education in our country thrives on Android apps, and content is primarily consumed on handheld devices [smartphones, phablets, tablets]. However, laptops offer a better learning experience due to an improved UI. So, we are making sure that all the existing Android apps and user-friendly laptop interface are equally available, "Mahant explained.

The company's R & D team focuses on two key areas - hardware innovation to ensure better performance, longevity, and greater energy efficiency, and PrimeOS enhancement for a smoother learning experience. The startup has already implemented diagnostic tools and QC benchmarking software for consistent validation and innovation.

Primebook has collaborated with three manufacturing experts in Delhi NCR, Manesar (Haryana) and Pollachi (Tamil Nadu) to manufacture the devices used for connecting and playing.

The startup has also included the latest Google AOSP security patches - including updates released to fix vulnerabilities in the Android Open Source Project. It ensures strict student safety through MDM and parental controls.

On the brand building front, as a new company on the block, Primebook also struggled with the element of popularity until it appeared in Shark Tank. She narrated her entrepreneurial journey on Shark Tank and received funds from Aman Gupta on the boat.

"Our appearance is an important milestone in our brand building journey. Since then, we have seen a 100-fold increase in business growth, including sales, brand awareness and business partnerships, "Mahant said.

PrimeBook raised funding in 2018 (its launch year) from Venture Catalysts + +, India's first multi-stage venture capital firm. Mahant said that this capital is crucial for PrimeBook as it has helped in dealing with the economic challenges during the pandemic. VCats + + also provided extensive networking opportunities, enabling the hardware startup to connect with edtech platforms and grow its business. In addition, the VC firm participated in PrimeBook's recent bridge round in August 2023.

Will the success story continue?

In line with the company's vision to bridge the digital divide, 50% of PrimeBook's revenue currently comes from Tier II (35%) and III (15%) locations. Interestingly, Patna, the capital of Bihar, is still a second-tier city and ranks second in its sales chart. New Delhi tops this list.

Globally, the educational PC market (laptops, desktops and tablets) is estimated to reach $44.2 bn in 2032, growing at a CAGR of 10.8% from $17.6 bn in 2023. Although virtually non-functional in schools at the moment, the demand for laptops is expected. The revenue forecast is $12.8 bn by 2028, up from $7.6 bn in 2021.

Homegrown companies such as PrimeBook, JioBook, and AXL can take advantage of this market growth if they can push the specification limits and improve performance despite price constraints. For example, the Primebook 4G, which costs around INR 15K, has only limited RAM (4 GB) and cannot handle complex multi-tasking beyond normal browsing, document editing, and media consumption.

However, domestic brands have one peculiarity: they have a comprehensive understanding of the country's educational market and the needs of students. For them, the e-learning ecosystem depends on finding affordable prices, functionality, and advanced technology (not necessarily expensive, given the rise of standard tech stacks) to smoothly drive growth.